Section LF 6 — Income Tax Act 2007: Application of FDP ratio

LF 6 Application of FDP ratio When this section applies (1) This section applies when a person who has a tax credit under section LF 1 receives an FDP credit attached to a dividend, and the dividend has an FDP ratio greater than the maximum permitted ratio calculated under section OA 18 (Calculation of maximum permitted ratios). Section OZ 10 (Modifying ratios for imputation credits and FDP credits) may apply to modify this section. Amount of reduction (2) The person’s credit is reduced by an amount equal to the amount by which the credit is greater than the maximum permitted ratio. Defined in this Act: amount , dividend , FDP credit , FDP ratio , maximum permitted ratio , tax credit , Compare: 2004 No 35 s LB 1(1)(d) Section LF 6(1): amended, on 1 April 2008, by section 446 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).